Some insurance companies that provide coverage through Obamacare are requesting significant increases in premiums for the coming year, citing costs associated with expanding coverage. Popular New Mexico insurer Health Care Service Corp. is asking for an average rise of 52 percent, with BlueCross BlueShield of Tennessee requesting an average 36 percent jump, and Maryland market leader CareFirst BlueCross BlueShield seeking 30 percent more.
Under the Affordable Care Act, the rates will be reviewed by states, which can make companies to lower them, and the federal government, which can ask for explanations for high rates, but doesn’t have the power to force them down.
A spokesman for the federal agency overseeing the health-care law said “final rates often decrease significantly” after these reviews. Read more at MarketWatch.